South Korea freezes the main interest rate at 2.5%

Today, Thursday, the Central Bank of Korea in South Korea remained on the main interest rate unchanged, to ensure financial stability, amid concerns about the rapid rise in housing prices and families’ debts.

The South Korean Yonhap Agency said that in a widespread expected decision, the Korea Monetary Policy Committee has kept the main interest rate fixed at 2.5%.

She added that this step came in the wake of the reduction in interest rates last May, when the Korea Bank reduced the interest rate by 25 basis points to support economic growth, amid weak domestic demand, and the uncertainty caused by comprehensive customs duties procedures imposed by the United States.